One of the requirements of the IIHF for Latvia to host the event was that a new arena would be constructed. Sweden was the stand-by organizer in case the arena was delayed, but the construction was completed on schedule, marking the first time a former Soviet state apart from Russia has hosted the event. The mascot of the championships was a beaver called RIX (after Riga International Airport's IATA code.)

Sixteen participating teams were placed in the following four groups. After playing a round-robin, the top three teams in each group advanced to the Qualifying Round. The last team in each group competed in the Relegation Round.

The top three teams from each group in the Preliminary round advance to the Qualifying Round. The top three teams from Groups A and D advance to Group E, and the top three teams from Groups B and C advance to Group F.

Teams in the Qualifying Round carry forward the results and points gained in the Preliminary Round with the teams that they have played and advance with. Teams, which have played in the Preliminary Round, do not meet again in the Qualifying Round.

The relegation round is composed of the four teams that placed last in Groups A through D. They play in a round-robin fashion, and the bottom two teams get relegated to the Division I group in next year's World Championships.